{"id":56679,"date":"2023-02-22T10:48:17","date_gmt":"2023-02-22T08:48:17","guid":{"rendered":"https:\/\/ironfx-com-php8.wp-dev.int.theitops.net\/?p=56679"},"modified":"2025-10-13T16:22:27","modified_gmt":"2025-10-13T13:22:27","slug":"feds-meeting-minutes-under-the-spotlight","status":"publish","type":"post","link":"https:\/\/www.ironfx-id.com\/ph\/feds-meeting-minutes-under-the-spotlight\/","title":{"rendered":"Fed\u2019s meeting minutes under the spotlight"},"content":{"rendered":"

The greenback edged higher yesterday, supported by market worries about the Fed\u2019s hawkish intentions yet the bullish tendencies tend to remain unconvincing for the time being. On the contrary, US stock markets tumbled, with all three major US stock market indexes, namely the Dow Jones, S&P 500 and Nasdaq being deeply in the reds for the same reasons, while also the rise of US yields tended to weigh as well. Fed policymakers in the past week had highlighted the need for the bank to raise interest rates further and maintain them at a high level for a prolonged period of time, a scenario, which could intensify the negative effect on the US economy. Today we highlight the release of the Fed\u2019s meeting minutes, which is expected to provide fresh clues about the bank\u2019s intentions and is expected to be scrutinized by market participants and analysts. Should the document be characterized by a confident, hawkish tone, we may see the USD getting some support as the market\u2019s hawkish expectations would be verified, while at the same time, such a scenario could have an adverse effect on US stock markets. Back in the FX market, we note the release of RBNZ\u2019s interest rate decision and the bank hiked the cash rate by 50 basis points as was widely expected by the market and maintained a hawkish tone in the accompanying statement. <\/a>It was noted in the accompanying statement that \u201cThe Committee agreed that the OCR still needs to increase\u201d which declared the bank\u2019s hawkish intentions, that supported the Kiwi at the time of the release. Across the Tasmanian sea, the Aussie weakened against the USD, suffering an adverse effect from the risk-off sentiment, of the market but also the slower-than-expected acceleration for the wages price index for Q4 allowed for Aussie\u2019s weakening to be maintained during today\u2019s Asian session. The release may have eased the pressure on RBA to maintain its aggressive hawkish stance. Staying in the FX market, we also note that the pound found some support yesterday, as the preliminary PMI figure for the services sector of the UK rose exceeding market expectations and showed growth in economic activity of the key sector once again. Also on a fundamental level, the possibility of the UK Government reaching a new Brexit deal with the EU seems to be supporting the pound as progress is marked in new negotiations. Yet a new deal could prove to be a double-edged sword, as it may cause political uncertainty within Sunak\u2019s government.<\/p>\n\n\n\n

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